Spatial heterogeneity in housing price-transaction ratios: a historical analysis of Tehran
International Journal of Housing Markets and Analysis
ISSN: 1753-8270
Article publication date: 26 November 2024
Abstract
Purpose
This study aims to explore the intricate relationship between housing prices and transaction volumes in Tehran, a city with diverse socioeconomic and regional characteristics. This research addresses a critical gap in understanding the role of local spatial factors, which previous studies have often overlooked, focusing instead on macroeconomic variables.
Design/methodology/approach
Using a data set of housing transactions of Metropolitan Tehran from 2010 to 2020 sourced from secondary data, this study uses generalized linear mixed models and spatial clustering techniques. These methods enable an examination of geographical clustering and the effects of local contextual variables on the dynamics between housing prices and transaction volumes.
Findings
Results indicate significant spatial heterogeneity within Tehran’s housing market. Higher prices and transaction volumes are concentrated in the northern and western regions, influenced by factors such as employment rates, rental housing supply and the physical attributes of the housing stock. The findings suggest that macroeconomic policies alone are insufficient to address housing challenges in Tehran; targeted, localized interventions are necessary.
Research limitations/implications
This study’s reliance on secondary data and its focus on a single urban environment may limit the generalizability of the findings. Further research incorporating a wider range of local and macro variables could strengthen the applicability of the results across different contexts.
Practical implications
This study underscores the need for region-specific housing policies that consider local economic, social and spatial conditions. Policymakers could improve housing affordability and accessibility in Tehran by implementing tailored strategies to address the distinct needs of different districts.
Originality/value
This study offers a novel perspective by integrating spatial and contextual factors in housing market analysis, providing insights that challenge the traditional macroeconomic focus. The use of advanced statistical and spatial analysis techniques contributes to a deeper understanding of urban housing market dynamics.
Keywords
Acknowledgements
The authors wish to acknowledge the Iranian Ministry of Road and Urban Development for granting this project and appreciate the support in making the housing transactions data of metropolitan Tehran available. We would like to thank the editor and the three anonymous reviewers for their suggestions and comments.
Funding.
There is not any funding for this research.
Declarations.
Ethical approval:
This material is the authors’ own original work, which has not been previously published elsewhere.
The paper is not currently being considered for publication elsewhere.
The paper reflects the authors’ own research and analysis in a truthful and complete manner.
The paper properly credits the meaningful contributions of co-authors and co-researchers.
The results are appropriately placed in the context of prior and existing research.
All sources used are properly disclosed (correct citation). Literally copying of text must be indicated as such by using quotation marks and giving proper reference.
All authors have been personally and actively involved in substantial work leading to the paper, and will take public responsibility for its content.
Competing interests.
The authors declare no conflict of interest.
Declaration of generative AI and AI-assisted technologies in the writing process.
During the preparation of this work, the authors used Quillbot and Grammarly to paraphrasing and grammar checking to improve the language. After using this tool/service, the authors reviewed and edited the content as needed and take full responsibility for the content.
Availability of data and materials.
The raw data sets are available from the corresponding author upon a reasonable request.
Citation
Roohani Qadikolaei, M., Hatami, Y., Nikmard Namin, S. and Soltani, A. (2024), "Spatial heterogeneity in housing price-transaction ratios: a historical analysis of Tehran", International Journal of Housing Markets and Analysis, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/IJHMA-08-2024-0118
Publisher
:Emerald Publishing Limited
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